Lucius Cornelius Balbus was the nephew or son of Lucius Cornelius Balbus the Elder. Both were born in the civitas foederata of Gades (Cadiz) in Spain, one of the oldest of the Mediterranean cities. A commercial city, under Augustus it was reputed to be among the first cities in the Empire for its numbers of wealthy citizens.

The two Balbi, perhaps with other members of their family, migrated to Rome and became Roman citizens in 72 BCE, at the encouragement of Pompey. While references are made, for the most part in Cicero's letters, to other male members of the family being active in Rome, Maior and Minor were the most notable.